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Understanding Organizational Culture

Organizational culture refers to shared beliefs, values, and behaviors that develop within an organization. It is shaped by top management and founders and transmitted through stories, rituals, symbols, and language. A strong culture provides employees with a clear identity and purpose. While culture creates stability and commitment, it can also present barriers to change. Managers must understand and actively work to shape their organization's culture to promote ethical practices, employee performance, and satisfaction.

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Amit Anand Kumar
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100% found this document useful (1 vote)
147 views24 pages

Understanding Organizational Culture

Organizational culture refers to shared beliefs, values, and behaviors that develop within an organization. It is shaped by top management and founders and transmitted through stories, rituals, symbols, and language. A strong culture provides employees with a clear identity and purpose. While culture creates stability and commitment, it can also present barriers to change. Managers must understand and actively work to shape their organization's culture to promote ethical practices, employee performance, and satisfaction.

Uploaded by

Amit Anand Kumar
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd

ORGANIZATIONAL CULTURE

PRESENTED BY:
DIKSHANT
KANIKA
MRINAL
Submitted to: Mr. Balbir Swami
SIMRAT
CULTURE? Organizational Culture?

It is a unique dominant pattern of shared believes,


assumptions, values and norms that shape the
socialization, language and practices of a group of
people.

Organizational Culture: It refers to a system of


shared meaning held by the members of an
organization that distinguishes the organization
from other organizations.
Characteristics of Organizational Culture

An organization’s meaning can be captured in these 6 characteristics:

Adaptability

Detail Orientation

Result Orientation

People/Customer Orientation

Collaboration/Team Orientation

Integrity
Common Cultural Frameworks

The Clan
• Based on Human affiliation
• Attachment, collaboration, trust, support

The Adhocracy
• Based on Change
• Value growth, attention to detail, stimulation

The Hierarchy
• Based on stability
• Communication , formalization , routine

The Market
• Based on achievement
• Competition, competence
Strong V/S Weak

Strong Culture Weak Culture

 Values widely shared.  Values shared by a few,


usually top management.

 Members not clear about


 Members know what is
what is important.
important.

 Employees strongly
 Employees have little
identify with culture.
identification with culture.
How Organizational Cultures form?

Top
Management

Philosophy of Organizational
Selection culture
Organization’s Criteria
founders

Socialization
Functions of Culture
• It creates distinctions between one organization and
others.
• It conveys a sense of identity for organization
members.
• Culture facilitates commitment to something larger
than individual self-interest
• It enhances the stability of the social system.
• Finally, it is a sense-making and control mechanism
that guides and shapes employees’ attitudes and
behavior.
Culture Creates Climate

Organizational climate refers to the shared


perceptions organizational members have about
their organization and work environment.
A positive overall workplace climate has been linked
to higher customer satisfaction and financial
performance as well.
Creating an Ethical Organizational
Culture
Be a visible role model.
Communicate ethical expectations
Provide ethical training.
Visibly reward ethical acts and punish unethical
ones.
Provide protective mechanisms.
Creating and Sustaining Culture

How a Culture Begins –

An organization’s current customs,


traditions, and general way of doing things
are largely due to what it has done before
and how successful it was in doing it.
Creating and Sustaining Culture

Keeping a Culture Alive –


Three forces play a particularly important part in
sustaining a culture:
 SELECTION PRACTICES
 ACTIONS OF TOP MANAGEMENT
 SOCIALIZATION METHODS
Culture as a Liability

Institutionalization.
Barriers to Change
Barriers to Diversity
Barriers to Acquisitions and Mergers
How Employees Learn Culture

Culture is transmitted to employees in a number of


forms, the most potent being stories, rituals,
material symbols, and language.
Stories Rituals

Stories include narratives Rituals are repetitive


about the organization’s sequences of activities
founders, rule breaking, that express and
rags-to-riches successes, reinforce the key values
reductions in the of the organization—
workforce, relocation of what goals are most
employees, reactions to important and which
past mistakes, and people are important and
organizational coping. which are expendable.
Material Symbols Language

The layout of corporate Many organizations and


headquarters, the types subunits within them use
of automobiles top language to help
executives are given, and members identify with
the presence or absence the culture, attest to their
of corporate aircraft are a acceptance of it, and help
few examples of material preserve it.
symbols.
Creating an Ethical Organizational Culture

Be a visible role model.


Communicate ethical expectations.
Provide ethical training.
Visibly reward ethical acts and punish unethical
ones.
Provide protective mechanisms.
Creating a Positive Organizational Culture

Rewarding
More Than
Punishing

Building on Emphasizing
Employee Vitality and
Strengths Growth
Spirituality and Organizational Culture

Workplace spirituality recognizes that people have


an inner life that nourishes and is nourished by
meaningful work in the context of community.
 Organizations that promote a spiritual culture
recognize that people seek to find meaning and
purpose in their work and desire to connect with
other human beings as part of a community.
Encouraging employees to consider how their work
provides a sense of purpose through community
building can help achieve a spiritual workplace.
How to lead as part of organizational culture?

Ask Questions! It will help you familiarize and shed


anxiety.

Build Relationships with other leaders. Learn from


those who are leading alongside you.

Start Small. Be disciplined. Be consistent.


Culture in the GLOBAL context

Organizational Culture represents


national/regional/organizational outlook.
 Air Asia (Malaysia) focused on openness and friendliness.
 Key challenge in Kingfisher + Deccan merger (one said “spend
lavishly”, other focused on “cost saving”.)

Have one global purpose and identity, but allow for


geographical differences like LOCAL TRADITIONS to build
and shape it.

Use small teams of brand ambassador (influencer) employees


who can form relationships and initiate a change revolution.
CULTURAL ALIGNMENT DOES NOT “JUST HAPPEN”

Direction and Purpose – A noble purpose


 “Don’t be evil” has been part of the Google’s corporate code of
conduct since 2000. When Google was reorganized under a new
parent company, Alphabet, in 2015, Alphabet assumed a slightly
adjusted version of the motto, “do the right thing. ”
Supervisor support – Mentoring, Coaching
Learning and growth – Staff Development
Relationships and Team Performance
Influence and Accountability
Recognition and rewards
Customer Orientation
Relation : Culture and Employee performance and Satisfaction

Source: Organization Culture, Robbins et


al, 18th edition, 2019
Summary: Implication for Managers

Culture is mostly fixed in short term. To change it, one


needs long term plans from top management.
Hire employees whose value align with organization.
Misfits have a high turnover rate.
Keep your workforce employed and trained. Training
always helps to avoid misunderstanding.
Use ethical means and incorporate spirituality in culture.
Understand the culture connect/relevance before
expanding to new geographies or marketing to new
segments.
Thank
You

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